and in washington d.c. and it's mostly to do with military contracting or prison industrial contracting this is sure and number two reason for the plunge in economic freedom in america increased use of eminent domain to transfer property to powerful political interests classic banana republic sort of action we've covered this in california with this proposed new eminent domain used to actually see these contracts i.e. the mortgages from one group of investors i.e. the pension funds and transfer it to some hedge funds and private equity guys who didn't come in and they had the eminent domain problem as well with the american military who threw them on reservations and took off their land and the number three reason why the u.s. is plunging down this economic freedom violation of the property rights of bondholders in the bailout of auto companies now this is also very to radical thing you see across the u.s. and across europe is this caprice is very capricious who they determine that

situation that bail out that bankruptcy who's going to pay for it sometimes they determine the bondholders will never pay and sometimes they determine bondholders that should should have been first in line for bankruptcy to seize the assets those guys get pushed to the back of the bus with us to probably have rules and regulations and laws written by vested interest and special interest of course are going to write laws that make sense for them as stakeholders as shareholders as the wealth holders of the country that's done anything to do it democracy or representational government that's long gone that's what the fall into freedom index gest america is in free fall and then finally they're finally reasoned here government consumption subsidies and investment all rows so obviously taking more and more of the investment dollar more money is going towards the government sector you want all your you even want to spend. you're lobbying money and get closer to

the politicians because that's where all the capital is flowing like a ten mile radius around washington d.c. is a ten foot moat full of fudges and candy people swimming backstroke and the fudging candy most around washington d.c. getting rid of. and buying off president because on a sec. so just to list the names of the nations a ball of the u.s. in terms of economic freedom is quite a list here hong kong singapore new zealand switzerland australia bahrain richest kalgo finland kill a u.a.e. arland u.k. is still many a taiwan denmark cutter i mean the u.s. is going for the guinness book of world records for the fastest country to freefall through the freedom index of any country ever so far looks like look good. so they record breaking their like the red bull. like the guy twenty four miles up the u.s.

. for a parachute many people call it a class war so i want to turn to this headline here from the american conservative magazine revolt of the rich are financial elites are the new secessionists so as i said it's from the american conservative magazine which was formed in two thousand and two by pat buchanan amongst others and it was formed in sort of in opposition to the iraq invasion and they were really annoyed with all of these neo conservative right wing american republicans leading the republican party so they wanted a less. pro-war sort of party so here they're saying that the elite the rich are secede from the u.s. absolutely and texas are not worth and you can just see from society if you have five million pounds you can hit the state but and you have all of your legal fees and all of the future associated with having to conform to any societal norms yeah

i mean it's more than that though they're calling it not just the rich in the actual article they say quote our plutocracy now lives like the british in colonial india in the place and ruling it but not all of it so they have separate transport systems they have separate security systems they they have. the how of this sort of gulag system and the black waters in the zs very unlike in colonial presidents and then you have the raj system especially in the media space so like an area on a huffington or matt drudge or any of the media or their their. platforms but as long as they stick to the plutocracy line nobody will divert from the plutocratic line and neither of those two media raj states of the huffington post or jones report so they're talking about plutocracy and then they go on to mention that this plutocracy basically uses the us media to spread the propaganda that somehow

the poor don't have skin in the game and it's those poor who should be thrown into the how labor in gulag to get rid of those people well again the american conservative says millions of americans who do not pay federal income taxes do pay federal payroll taxes so again you know mitt romney and all his cohorts keep on saying well half of americans don't pay any federal taxes but they pay the federal payroll taxes so to put this into context how important payroll taxes are to the us government funds in one nine hundred fifty payroll and other federal retirement contributions constituted ten point nine percent of all federal revenues by two thousand and seven the last normal economic year before federal revenues began falling they made up thirty three point nine percent by contrast corporate income taxes were twenty six point four percent of federal revenues in one nine hundred fifty by two thousand and seven they have fallen to fourteen point four percent so

who has skin in the game oh yeah those plenty of taxation being participating on the behalf of the majority of folks in the country what they don't have is representation they've got no representation and plenty of taxation or to put it another way no taxation without repr patient wait a minute was not the basis for the revolutionary war back to sleep. over this time period you can see the actual pool and income of the average american so they're paying more and more of the percentage of their income to the us federal government but the absolute number is lower because their incomes have plunged they went from say making fifty thousand down to twenty thousand so but they're paying like sixty percent of their income to all the various taxes so the rich get to say no and then i you little peasant you don't pay that much in absolute numbers because we make trillions and trillions a year you barely make anything but you're paying most of it to us and remember in

the case of let's say starbucks and u.k. it was reported that of billions and billions of and they pay virtually no taxes so when you get higher up to just a specialist model you can just see from the part of society that you have to obey laws on any score you know once you're at a certain level you really live in a rarefied. colony that completely without law and you can simply print money on behalf of yourself and. take drugs without any problem as most of them do the fortune five hundred is full of drug addicts and drugs so well you make a good point about starbucks in the u.k. in their income of not paying taxes on it but this is part of the reason why since the one nine hundred fifty the corporate tax revenue to the federal government has declined so much is because of globalization so google puts all of their income they claim through ireland for example mixed with amsterdam so there's some sort of

dutch sandwich situation that goes on and only days odometer on about the dutch sandwich because he's got a totally different version of. but number three location for economic freedom is switzerland it's known as the safe haven for all the wealthy around the world swiss army prepares for euro zone under arrest with anti austerity protests across europe resulting in civil unrest on the streets of athens in woodridge switzerland the european country facing. interesting trial eighty is taking unusual precautions yes max in september they had a military exercise called a do a where they were repairing to respond to a risk map created in two thousand and ten where quote army staff detail the threat of internal unrest between warring factions as well as the possibility of refugees from greece spain italy france and portugal all right oh you know ira the mounds don't think i suppose loans are good for all of the mountains they're sliding down as they melt but they have

a spokesperson from the swiss government and says it's not excluded that the consequence of the financial crisis in switzerland could lead to protests and violence the army must be ready when the police in such cases request subsidiary help so they're seeing domestic internal unrest but they're also seeing as the defense minister quoted in the c m d c article he says that some of your countries under pressure to save didn't we knew their armies as they could no longer afford the upkeep of modern systems so he suggests that leaves them open to blackmail and he wants the nation of switzerland to be prepared for that you know well i'm preparing to blackmail the national journal and i so. tough going to it worked in world war two right i mean you know they're open to a bribe here and there i want to protect myself what will do the show for the matter horn. well what you were talking about that moat around washington d.c.

filled with chocolate oh i see now swiss chocolate uniforms shangri-la in the mountains. with nothing but genetically modified and there cow bells ringing home the harvest of being laundered money for the mexican drug cartels join me up in the mountains stacey will sing together like my lady and other r's. this. is beautiful all thanks a thing for being on the kaiser report. stay tuned for the second episode by talking to michael krieger. who are going to run. for dismissal of the offensive.

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projects and free media and dog hearty dot com. gold fever. turns thousands into slaves. must follow. involved in the monsoon. to nationals. cash cow to be milked dry i think that in this country metallurgy has an environmental cost which is unacceptable to local business was labeled illegal and controlled by criminals in order to protect our lives our families and to work in peace. we are forced to pay protection to illegal groups prices colombia going to pay.

the people the modest affect on our t.v. . just curious thanks. leon. thank you. thank. you. max kaiser welcome back to the kaiser report time now to go to boulder colorado and speak with michael krieger of liberty bridge blitzkrieg dot com

a lightning war for liberty eight michael kramer welcome back to the kaiser report thank you max great to be on you tweeted jamie diamond says iran is responsible for some bank cyber attacks your thoughts i mean this is one of the most of all the ridiculous headlines we get constantly this is one of the most frustrating annoying ridiculous maybe if you're going to an awful movie and somebody wells first of all as i tweeted as well i said that first we first we first need to bail out the bankers at the expense of the entire society and now they want to start world war three for them i mean that's that's kind of how i saw it it's like jamie diamond is as you said and i as i said he's a gangster he's a mobster and so basically what happens is is now he feels he's like a bully that no one stands up to so if you don't stand up to the bully he's going to keep taking your lunch money every day every day so when someone wants to do is just pop them in the face you know because because because he's just going to keep pushing for more and more and more they're not satisfied just looting they want you

to now feel sorry for the banks because big bad or rand is hacking into their systems i mean it's really unbelievable. well what's particularly disturbing hair is that he's scapegoating a whole population so he's graduated from merely being a larson mystic scum. banker to being somebody now who is turning into a bit of a genocidal maniac your thoughts exactly it seems like he's now straying away from just you know banking and just simply stealing trillions of dollars from the american people in the global population to now we're trying to run foreign policy you know i mean that's that's what's so and that's what's so crazy about this to me and and if you look if you read the article one bloomberg article that came out that day about talking about how connecticut is warning of a cyber pearl harbor which by the way was warm you know in one thousand nine

hundred six the first time in front of congress but anyway what's interesting is there are three countries that they they they so they point out and it's iran and russia and china and what's interesting about that as you know is those are really the three countries with the resources and the will to actually buy physical gold and store it in their own countries and so it's no coincidence that you know the meaning is going out there now to try to demonize despotic countries because they're the ones that are actually buying gold and what i thought was great was on your side i saw today how mexico of course they had their story over gold in london which means of course they don't have a goal and that's the point it's only a few countries that are actually buying the physical and bringing it back oh and by the way been this way it was another one of those countries which is why we you know we demonize them as well you know during the nixon administration with the revelations that came out through the washington post and the investigative journalism of course the cats were of that era was follow the money what you're

suggesting here is just look at where the gold is who owns the gold and you see the global geopolitics in a crystal clear light now let me ask you about the hard core financial criminals that you cover so well on liberty blitzkrieg and we try to get to as well vic room panned it as just been forced out at citibank now chris whalen who's a regular on this show asked on twitter. vic grown penda did he resign in exchange for a non-prosecution agreement with the department of justice ok so here we are really digging into your thoughts i'm not. familiar i don't follow citi group and too much except for knowing that he basically started a hedge fund and then sold it to citi and then ended up running city and i don't even know why anyone would buy a hedge fund in the first place doesn't really seem to make much sense to me anyway but you know it wouldn't surprise me though that story would be true just because

what you see is this incestuous relationship and this is global it's not just in the united states i mean it's in china i think it's in every major economy where the liter of the oligarchy class and in the west it's mostly the banks there's are arguing are committing their crimes with the permission of the government and they sort of agree with each other that hey i'm not going to tell on you if you don't tell me so congress insider trades congress chiefs congress doesn't pay taxes and no one says it and the same time the bankers c.e.o. and get bailed out and gets your percent loans to speculate and no one says anything and. so yeah i mean these agreements i mean are it's implicit or explicit it's becoming more explicit now yes a criminal class i mean it's a it's a small criminal class right on the edge ill political front the swiss army is preparing for unrest and refugees due to the economic collapse that was of course caused by these bankers i want to ask you something during the lead up to world war

two we had hyperinflation in the y. mar germany we had a massive deflationary wave in the united states these were obviously economic events to categorize inflation deflation here we have political unrest geo political uncertainty nervousness. across the globe in all kinds of markets and yet nobody can decide what's really going on is there deflation or is there inflation so there's something being masked we know that there's a shadow banking system. we know that japan's been in a stagnation for two decades or more close to three decades but what do you describe what do you call this environment it's not it's not inflation it's not deflation in the sense that those terms are widely understood there's something else going on that's invisible but on the financial front but on the geo political front something quite obviously is heading toward global confrontation right square

that what is happening is the guru monetary system the global financial system is ending and what that does course is create huge problems because everybody is in tangled in the system and one thing that i've been thinking about more and more lately is that when things were going good for let's say globalization or superficially going good for the financial system the monetary system the elites in the different countries are happy to play ball they're best friends you know but the elites in the us and the elites in china they were in the same games they were playing the same wall together we you know used them to manufacture cheap we send all our jobs over there they were happy to take the jobs worked out for the elites in both countries but what ends up happening as the system breaks down due to the excess is that the elites fem right have to worry about the uprisings in their own country and then they start to fight with each other and then you will ultimately

get the war and that's what i think we're i think we are right now with the sort of you see more demonization between you know if you watched the debate last night you know you saw a lot of white china bashing was coming up and i think that's because now the elites in the different countries that formerly were in bed together are now turning on each other and the next step of course is you go from a financial or a currency or to an actual war and that's my biggest fear continues to read the debates are talking about. president of the base between obama and romney now i think you're leaning or leaning into a post that you put up recently at liberty blitzkrieg dot com call the last domino yeah i mean so this so this goes into again this is others the in the you're saying which is so confusing to people which is that which is that it was tempting to look at the scenario let's say five years ago ten years ago the global system and say wow look at the debt in the u.s. look at the lack of jobs look at the unemployment look at the deficit successor with this thing is going to end and then you look at china and russia and you say

what would be so easy for them to end it by buying a bunch of go all right but what we've seen actually is these countries have made a decision very clear not to be the catalysts to break it ok not to not to do it over but to basically allowing the united states to call a lapse on itself so that the authorities here can't say china is is engaging in financial war by buying ten thousand tons of gold something like that so that's why that's why it's taking so long that's why they did so confusing that's why it's think it looks like the u.s. is the last man standing because these other countries that know it's over have decided to just let the u.s. basically you know stumble around like a drunk until it collapses all right mike ok let me take the kind of the opposite side of the argument air sense the financial crisis started in earnest back in two thousand and eight the policy of the federal reserve bank in washington has been to

aggressively make interest rates cheaper with the stated objective of helping asset prices in real estate and in the stock market to contribute to what people call the wealth effect people have wealth tied up in markets and as real state and they had a tremendous downturn in two thousand and eight crash he has made rates cheaper what we've seen in the last six months michael kroger. our bounces in the real estate market in vegas in florida across america housing starts are up and the stock market is flirting with all time highs so there is a wealth effect and there is a thought out there that bernanke has succeeded here thoughts well i mean i think that just shock you're able to get those words out of your mouth actually but oh yes oh so of course we both know that the the the concentration of the ownership in equities and real estate to at this point is concentrated in the in

the all or dark whether that's again political corporate or financial banks or oligarchy so they are the ones that own all of these assets and you know what they basically do is they go to earn and they say you know if you don't save our our butts basically from these poor investments that we made you know we're going to be in trouble and then everyone's so it's again it's like that's why i do like your term when you say financial terrorists because that's what it is it's actually a sort of rat that if they are making doesn't do what they say to to to keep their wealth. elevated then basically the tire economy is going to go back to the middle ages which is of course ridiculous and you know is actually what was amazing about it is the proof is out there you know the debt we've now seen this experiment for three years or so with q.e. and what we what have we seen we've seen that the wealthiest get wealthier the middle class evaporate and the poor get poorer and we're encouraged got a bull market pop right i mean it's obama obama took office i think food stamp

participation was about thirty two million it's forty six million right now that's a record number so if there was a wealth effect unwired twelve million more people are fourteen million more people something like that on food stamps michael kroger finally zero heads another beloved site recently reported an item about america's plunging economic freedom to number eighteen on the global list the number one reason for the decline of the u.s. economic freedom is the single enterprise that is the war on drugs and terrorism your thoughts when you when you look around and you sort of see what we are investing in again it's like apple i think i think last night obama was was trying to roll off white companies great american companies he said apple and he was were trying to find another wanted to kind of couldn't you know they were just all we're doing is i think actually at the top the government has the courage in this police

state as like some perverse economic stimulus that they can come out and say but there are literally are putting in the infrastructure saying well least you know what he will create jobs crippling the prison to you know to it to to imprison the entire american population so so you have course you know the economy no one with with with with capital and a brain would want to invest here at this point because it's there's no rule of law so the only thing you're going to invest in is how to keep the serfs you know in their pen. right they should replace the national anthem what the words america sucks except for apple. but is that all right michael kroger out of time thank so much for being on the kaiser report thanks max great as always and that's going to do it for this edition of the kaiser report with me. and stacy herbert my guest michael krieger of liberty blitzkrieg dot com send an e-mail please do so at kaiser report r t t v dot are you like song by.

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